CIMSME or the chamber of Indian Micro, Small & Medium Enterprises is an association that represents the MSMEs in government forums. It is a revolutionary step that identifies the interests and challenges of MSMEs and voices them out to public regulators.
In fact! Some of the recommendations made by CIMSME India are accepted in the Union Budget of India. There has always been a communication gap between the MSME circuits and apex government bodies, resulting in many hardships for small-scale businesses.
CIMSME seeks to undo those problems and promises to give MSMEs more visibility. Let’s understand some more benefits of CIMSME India and how it helps boost Indian enterprises.
Challenges faced by Indian MSMEs
MSME contributes around 45% of the total industrial output and is a significant pillar of the GDP of India. Yet it has to face a lot of challenges in its way and lacks support from the concerned public authorities, financial institutions, or policymakers. There are several roadblocks that hamper their capital growth.
- There is an absence of timely redressal of funding issues from banks.
- The resources are limited and the availability of adequate skills is minimal.
- Lack of suitable technology to carry out operations.
- Industrial production is lower than the optimal limit.
- There are major loopholes in the marketing and sales strategy of these enterprises.
- Scaling is a big problem and most of them end up being local businesses.
- Skilled laborers or professionals are not available at affordable rates.
- Lengthy follow-up process of communicating with government bodies.
Benefits offered by CIMSME
To overcome challenges it’s essential for MSMEs to use their limited resources in the best way possible. New or small start-ups can tap the global market and expand themselves across various sectors with the growing opportunities. CIMSME India is closely working to educate, empower and connect Indian MSMEs. This is done by conducting trade promotional activities and capital ventures. Let’s uncover each of these benefits one by one.
- It offers opportunities to network with stakeholders and authority figures like central or state government officials, representatives of banks and financial institutions, big players in the industry space, and a lot more.
- Regular delegations happen between CIMSME members and policymakers to resolve critical issues or growth constraints. Being an MSME founder one can become a part of these delegations and offer individual opinions.
- They get to participate in brainstorming sessions where members try to hunt for possible solutions to the problems. A lot of challenges like high company CIR (cost-income ratio) are discussed.
- Often, business owners fail to remain updated about the new policies and programs. But being a member of CIMSME helps them to get regular information about important policy decisions and B2B solutions.
- To empower the MSME owners, tons of training programs, seminars, workshops, and conferences are organized throughout the year. This provides a learning experience to the new business owners directly from the experts.
- An online portal is created for reporting payment defaults. CIMSME India launches no Defaulters for quick redressal of payment delays after deliveries are made by MSMEs and allows them to check the list of defaulters and report accordingly.
- The sellers can submit proper details of the defaulters on this portal and the concerned authorities will reach out to the buyers for payment settlement within a specified time.
- CIMSME is indeed an innovative way to counter challenges and gives MSMEs a ray of hope.